UPS Expands Logistics Reach to Meet Emerging Demand in China

UPS Expands Logistics Reach to Meet Emerging Demand in China

10:24 EDT Tuesday, August 13, 2013

ATLANTA (Business Wire) -- UPS
(NYSE:UPS) today announced the expansion of its presence in China with
the addition of two new contract logistics distribution facilities in
Chengdu and Shanghai, bringing the total to more than 130 distribution
facilities, covering 87 cities. The two new facilities are in addition
to the UPS healthcare facilities that opened last year in Shanghai and
Hangzhou. The contract logistics facilities will provide distribution
and warehousing solutions to shippers who want to reach customers within
China. These facilities demonstrate UPS's continued commitment to
serving China's emerging middle class.

According to a recent World Bank report,
China is the second largest global economy and the world's largest
exporter and manufacturer of goods. The World Bank report continues to
predict that China will be the world's largest economy by 2030.

“UPS is committed to supporting emerging market demand and helping
customers expand into new markets in China,” said Jim Barber, President
UPS International. “Expansion efforts, such as the opening of these two
facilities, will bring unmatched resources to our customers looking for
a national distribution platform in China. Our customers will benefit
from our trustworthy and reliable service, proven logistics methods,
industry-leading technology solutions, global distribution and
multi-modal transportation network and decades of experience in the
Chinese market.”

The two non-bonded distribution facilities in Chengdu and Shanghai are
strategically located in close proximity to international airports and
major road networks. Built with capabilities to support a diverse
spectrum of growing Chinese industries - primarily high-tech, industrial
manufacturing, aerospace and retail - customers will also have
connectivity to UPS global IT platforms for distribution and post-sales
support.

The new facilities are considered a major part of UPS's efforts to
develop a national distribution network in China and strengthen the
company's overall portfolio of international capabilities. Each facility
is designed with specific regional and market needs in mind. For more
information on Contract Logistics Services in China, visit: http://www.ups.com/chinalogistics.

Chengdu

Keeping with the Chinese government's strategic “Go West” initiative,
the new Chengdu facility offers more than 47,000 square feet of
warehousing and distribution space. It provides multinationals looking
to conduct business in the region with access to central and western
China and the growing cities of Chengdu and Chongqing. The facility is
located 2.5 miles from the Chengdu Shuangliu International Airport,
which facilitates convenient access to major foreign markets and is in
close proximity to major interstate roads, putting two-thirds of China's
Southwest population within a day's drive.

Shanghai

The new Shanghai facility consists of more than 70,000 square feet of
distribution space and is less than two miles from the UPS International
Hub at Shanghai's Pudong Airport, China's largest airport by air cargo
volume. The close proximity to the hub enables later cut-off times for
express and freight exports to key markets in North America, Europe and
within Asia. The new facility, UPS's fourth in the area, is designed to
meet the needs of multinational companies looking to increase their
business operations in the domestic Shanghai market.

UPS (NYSE:UPS) is a global leader in logistics, offering a broad range
of solutions for the transportation of packages and freight, including
innovative delivery options for the global consumer market; the
facilitation of international trade, and the deployment of advanced
technology to more efficiently manage the world of business.
Headquartered in Atlanta, UPS serves more than 220 countries and
territories worldwide. The company can be found on the Web at UPS.com
and its corporate blog can be found at blog.ups.com.
To get UPS news direct, visit pressroom.ups.com/RSS.

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